Regarding employees of a Ledgers franchise, does Ledgers as the franchisor have any control over them?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
s is that of an independent contractor. This Agreement does not create a partnership, joint venture, or any other entity between the Parties. Neither Party has a fiduciary duty or other special duty respect to the other Party. You are not a third-party beneficiary to any contract between us and any other franchisee.
C. Your Employees
As a separate Franchise Business, you have sole and exclusive control over your employees. Neither you nor your employees and agents may make a claim as employees or agents of us for any purpose
including participation in an employee benefit plan, stock option program, or workers compensation law.
D.
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 Ledgers Franchise Disclosure Document, Ledgers franchisees have sole and exclusive control over their employees. As a separate franchise business, the franchisee is responsible for all employment-related decisions.
This means that Ledgers franchisees are responsible for hiring, training, managing, and if necessary, terminating their employees. Ledgers does not exert control over who the franchisee hires or how they manage their staff. The franchisee is also responsible for ensuring their employees have the necessary training, licenses, or certifications required by applicable law, including continuing education for licensed professionals like Enrolled Agents and Certified Public Accountants.
This arrangement is typical in franchising, where franchisees operate as independent business owners. It allows the franchisee to build and manage their team according to their local market and business needs. However, it also means the franchisee bears the full responsibility for compliance with employment laws and regulations.
Prospective Ledgers franchisees should understand that while Ledgers provides a franchise system and brand, the franchisee is an independent contractor responsible for all aspects of their business, including employee management. This independence offers flexibility but also requires a strong understanding of employment practices and legal requirements.